Week 5: Leadership in International Projects/ Markets

Table of Contents
5.1 Introduction ...........................................................................................................................................................2
5.2. Learning Outcomes ..............................................................................................................................................2
5.3 Leadership in International Projects/ Markets ...................................................................................................3
5.4. The importance of leadership when expanding into international markets ....................................................5
References ..................................................................................................................................................................11

LJMU-7508-BEGP Leadership for Strategic Execution 1|Page

5.1 Introduction
International leadership refers to a series of processes in which a state utilises its resources to
mobilise and influence a group of other states, known as followership, through various channels.
The ultimate objective of this collective effort is to achieve a shared goal. Global leaders have a
crucial role to play in fostering success for organisations projects. In the business world, having
global leadership can determine whether a company experiences growth or falls behind
competitors who are more prepared for the international market (Hornstein, 2015). To be an
effective leader in international projects, it is important to have a strong grasp of our own beliefs
and assumptions. Additionally, we must be able to acknowledge and appreciate the cultural
values and behaviours of our team members. In the field of project management, it is crucial to
have competent leaders who can effectively motivate teams, drive project success, and enhance
their organization's brand and capabilities. Leaders should prioritise the promotion of
collaboration among different functional entities within the organisation (Too & Weaver, 2014).
They should also strive to establish a supportive environment that fosters teamwork and
cooperation. Additionally, leaders should aim to cultivate a sense of positive and authentic
leadership throughout the entire organisation. Leaders need to develop a strong rapport with their
project teams as well as with the various organisational interfaces involved in project and
programme management. In light of the numerous challenges businesses currently encounter,
project managers are now being presented with a significant call to action from executive
management. This presents them with a unique opportunity to showcase true and positive project
leadership to a global business world.

5.2. Learning Outcomes

Upon the completion of this week of study, you will be able to:
LO.1 Explain and critically analyse the theories and concepts of leadership and
management and their application in organisations and on projects.
LO.2 Critically evaluate the role of leaders in ethically managing change and in working
collaboratively, ethically, and effectively to support project execution.
LO.3 Explain and critically evaluate the processes required to ensure various elements of
strategic value-enhancing practices are implemented within HR practices.

LJMU-7508-BEGP Leadership for Strategic Execution 2|Page

5.3 Leadership in International Projects/ Markets
There is no doubt that leadership plays a crucial role in project management. Leading a project
may require a different set of competencies compared to those needed for leading a company.
Effective leaders not only prioritise the success of the project but also pay attention to the
process through which project objectives are accomplished (Barnwell et al., 2014). The main
differentiating factor between leadership and management is this. Projects are characterised by
task-oriented structures, in which goals and objectives are determined, clear tasks are defined,
timetables are established, strict budgets are set, and work is coordinated among team members.
These characteristics of a project are what distinguish effective leadership. According to a study
conducted by Müller and Turner (2010), successful project managers possess common
competencies such as conscientiousness, motivation, influence, and critical thinking. The results
of their fieldwork indicate that leadership styles differ depending on the types of projects. For
example, in simple projects, transactional leaders are preferred, while in complex projects,
transformational leaders are preferred. The main argument of this study is that project
management requires a greater emphasis on leadership soft skills. While projects typically have a
defined structure, it is the leader's responsibility to foster a flexible environment within the team
and actively seek input from team members. The project's goals are challenging to achieve due
to the high levels of stress and cost involved. In a stressful environment, having a good leader is
crucial and essential for the team. Leaders strive to create a stable and positive atmosphere by
cultivating an open-minded approach, sharing their own experiences, raising the team's
awareness of the project's achievements, and motivating them to focus on the task at hand.
According to a study conducted by Kumar in (2009), it is insufficient for project managers to
possess only technical and business skills in order to contribute to the success of a project. The
user emphasises the significance of leadership skills for project managers (Barnwell et al., 2014).

These skills are categorised as motivating and inspiring, team building, negotiating and
communicating, and listening and influencing skills. According to Lencioni (2002), leaders play
a crucial role in addressing dysfunctionality within project teams. By employing this approach,
the problems that can arise within a project team include a lack of trust, fear of conflict, a lack of

LJMU-7508-BEGP Leadership for Strategic Execution 3|Page

commitment, avoidance of accountability, and inattention to results. What
actions should leaders take to address dysfunctionality within project teams? Leaders should
prioritise the development of trust and honesty among team members when managing projects
(Barnwell et al., 2014). Otherwise, team members may encounter difficulties in embracing the
concept of team spirit, such as believing in equal job distribution, fair payment, and equal
contributions from each team member. Conflict is a common occurrence within project teams.
Leaders should anticipate potential conflicts that may arise from individuals or informal groups
and proactively develop strategies to prevent such conflicts. Commitment entails more than just
pursuing the team's objectives; it also involves fostering psychological and social connections
with fellow team members. Leaders cultivate commitment among team members towards project
objectives, their fellow team members, and themselves. Transparency plays a crucial role in the
successful delivery of a project (Barnwell et al., 2014). The processes of planning, budgeting,
and performance measuring should be shared in detail with the entire team. This encourages
members to envision the future outcomes and motivates them to actively strive towards
achieving them. If team members prioritise their own interests and disregard the project goals,
leaders are confronted with the issue of 'inattention to results'. During the planning phase, leaders
have the opportunity to collaborate with team members in order to plan projects together. Team
members can gain a better understanding of project requirements and maintain a stronger focus
on the objectives (Barnwell et al., 2014).

Global leadership must actively seek ways to establish common ground and shared goals, all the
while respecting and acknowledging cultural differences in work practises (Caligiuri & Tarique,
2012). Global leaders must possess the ability to comprehend and value diverse cultural
perspectives that may exist, while also fostering unity and agreement regarding the objectives
and mission of their work. Although the common purpose and objective may share a similar
name, they actually represent distinct goals or meanings. One of the major challenges faced by
global leadership is effectively understanding and managing the tensions that arise between a
central or global headquarters and regional or local teams. It is important to carefully consider
and strike a balance between local needs, customs, regulations, practises, or markets and the
overarching central missions when making decisions. The mission from headquarters should be

LJMU-7508-BEGP Leadership for Strategic Execution 4|Page

contextualised at the local level. Global leaders must continuously
navigate, adjust, and adapt to the local context (Caligiuri & Tarique, 2012). Global leaders and
their organisations must have a comprehensive understanding of various factors that can impact
their work, such as government policies, legal frameworks, historical contexts, and economic
conditions. These concrete factors have a significant impact on the functioning of organisations,
and it is crucial for global leaders to acknowledge that these factors are often beyond their
control. Leaders cannot possibly be prepared for every situation, cultural setting, or challenge
that they may encounter.

Global leaders must possess the ability to be effective in unfamiliar settings and demonstrate the
capacity to think and act in innovative ways (Caligiuri & Tarique, 2012). To excel in global
leadership within multicultural settings, one must possess a distinct set of conventions and skills.
Globalisation has presented both opportunities and significant challenges for businesses,
particularly in their efforts to adjust to new leadership paradigms. In a global context, previously
established approaches that have been tried and tested may not be as effective or could
potentially be destructive. New leaders in international environments must identify the necessary
skills they need to acquire in order to enhance their success in a global setting. While there may
be some shared values, beliefs, and practises, it is crucial for individuals to adopt a fresh
perspective and approach their work environments with a different mindset (Caligiuri &
Tarique, 2012).

5.4. The importance of leadership when expanding into international markets

In order for a business to achieve true success, it is crucial to venture into international markets.
While it is true that a domestic business can thrive and establish a strong presence in local
markets, it is crucial for businesses to expand their focus internationally in order to ensure long-
term growth (Cairns, Quinn, Alexander, & Doherty, 2010). Expanding into international markets
offers numerous benefits beyond simply expanding one's customer base. Expanding into
international markets allows businesses to benefit from cost-effective labour, more affordable
resources, and lower rental expenses. Additionally, it allows businesses to explore new suppliers
and business service providers who may offer more competitive rates for essential services like

LJMU-7508-BEGP Leadership for Strategic Execution 5|Page

administration and logistics (Liefferink & Wurzel, 2018). However, not all
entrepreneurs possess the necessary skills and experience to successfully expand their businesses
into international markets. While it is important for business leaders to challenge themselves and
step outside of their comfort zones to propel their businesses forward, it is common for domestic
business leaders to feel more confident when dealing with domestic business activities. As a
result, they often prefer to entrust overseas operations to specialists who possess the necessary
experience and knowledge in foreign markets (Cairns, Quinn, Alexander, & Doherty, 2010).

Effective leadership is crucial when expanding operations overseas. Therefore, it is imperative

for any company aiming to succeed in the international market to have a competent, highly
skilled, respected, and motivated director overseeing these responsibilities. In certain cases,
businesses can capitalise on profitable overseas markets by making investments in other
companies instead of relocating their own operations to those areas. While not a widely used
approach, establishing international offices can be both effective and low-risk (Liefferink &
Wurzel, 2018). Achieving success in modern business requires consideration of multiple factors.
Before considering expanding globally, wise leaders in organisations must carefully consider
several key factors.

Four key leadership functions are intertwined: 1. The strategic domain is where a clear long-term
direction is established. 2. The operational domain is where sustainable business results are
achieved. 3. The people domain is where strong leadership and lasting team relationships are
developed (Cairns, Quinn, Alexander, & Doherty, 2010).

One of the significant advantages of supporting this expansion is the potential for the
organisation to develop a highly skilled labour force, led by strong, flexible, and effective global
leaders. It is unrealistic to expect any leader to excel in all leadership tasks or behaviours every
single day of the year. Hence, it is essential to provide assistance to leaders in developing the
necessary qualities to effectively lead in a global setting. These aspiring global leaders also
require assistance in effectively leading their teams to achieve their maximum potential in an
international context. Many successful CEOs have gained valuable leadership experience by

LJMU-7508-BEGP Leadership for Strategic Execution 6|Page

working outside of their home office. They have had to develop and
expand businesses in new cultural environments (Liefferink & Wurzel, 2018).

The first item on the list should be a focused preparation of leaders to expand overseas. To
effectively navigate the new environment, it is essential to conduct thorough research, leverage
existing networking contacts, and actively seek information by asking numerous questions.

Another important aspect to consider is gaining an understanding of the new context. In simpler
terms, it refers to the overall perspective or broader view. This can be divided into an
appreciation of several important areas: the stability of the political situation, the state of the new
region's economic and financial context, the socio-cultural environment, and the reliability of
technological infrastructure. The significance of this understanding can be summarised as
follows by Cairns, Quinn, Alexander, & Doherty (2010): Knowledge is specific to a particular
place or context, while mindset should be broad and encompassing.

Improving leaders' ability to lead involves demonstrating the "human touch" to give their
business a competitive edge. The ability to effectively apply specific leadership characteristics
and behaviours is crucial for achieving maximum impact and optimising team performance.
Having the capacity to demonstrate exceptional interpersonal skills is crucial for establishing
strong relationships, both within the team and beyond the organisation, especially in a new
environment (Liefferink & Wurzel, 2018). The skill to effectively leverage the strengths of a
diverse, multi-disciplinary, and multi-cultural team. Lastly, it is crucial to possess the skill of
adaptability in a world that is constantly evolving, as well as the capacity to engage in
continuous learning.

Another important tip to consider is being aware of the cultural dimension. It is crucial for a
leader to demonstrate an understanding and respect for the standards, norms, and beliefs of the
local culture (Liefferink & Wurzel, 2018). This naturally includes the language spoken in the
local area. Smart leaders will go to great lengths to learn the new language so they can
effectively communicate with the locals and gain their respect. If it is not possible, then effective

LJMU-7508-BEGP Leadership for Strategic Execution 7|Page

communication in a shared language will be crucial. The key to effective
communication is the ability to express oneself in simple, clear, and accurate language.

The significance of global leadership behaviour in today's business environment cannot be

underestimated, given the highly competitive challenges that exist on a global scale. Leadership
behaviour plays a crucial role as it has a direct impact on the current and future situations of an
organisation. The achievement of an organization's goals is heavily influenced by the leaders and
their behaviour in leading (Perez, 2018).

Leaders play a crucial role in the success of any organisation, including those operating on an
international scale. Leaders who demonstrate a strong commitment can play a crucial role in
fostering organisational efficiency and facilitating development in various situations. Therefore,
effective leaders demonstrate the ability to predict behaviours and performances within
organisations (Perez, 2018). An active leadership style is considered to be a valuable asset for
maintaining a competitive advantage and fostering management development. A positive
leadership attitude is crucial in helping organisations achieve their desired goals more efficiently.
This can be achieved by connecting staff performance to valued rewards and ensuring that
workers have the necessary resources to accomplish the goal.

Organisations should establish an effective relationship system to foster employee commitment

and enhance performance. Utilising interaction tools and networks can help management achieve
positive job performance and cultivate strong relationships with their workers. Mathew (2008)
concluded that managing the attitudes of workers is a dynamic task. Each worker seeks special
attention from the organisation in order to build a positive attitude. Given this perspective, it is
crucial to recognise the significance of fostering positive relationships with employees and how
it can greatly influence organisational performance. Therefore, it is essential for leaders to adopt
a more positive approach in their interactions with employees in order to fully harness their
capabilities (Perez, 2018)..

LJMU-7508-BEGP Leadership for Strategic Execution 8|Page

The increasing presence of multinational firms and the importance of small
businesses in the global market have paved the way for the development of a new kind of
leadership. It is evident that many current and future companies will have branches situated in
various parts of the world, resulting in a diverse workforce comprised of individuals from all
around the globe. Hence, considering this, it is essential for global leaders to have the abilities
and skills required to effectively communicate with and manage personnel from diverse cultural
backgrounds within their international organisation (Perez, 2018).. In accordance with this,
global leaders should possess the following essential global leadership characteristics:
-To be a global leader, it is essential to have strong intercultural interaction skills and a deep
understanding of at least one or two foreign languages. This includes being aware of the
complexities involved in communicating with individuals from diverse cultural backgrounds.
-A global leader should possess a cosmopolitan nature, meaning they should be adaptable
enough to work effectively in a diverse cultural environment.
-The individual must demonstrate a commitment to continuously improving themselves and their
self-awareness.
-The individual must possess the ability to utilise their experience in different organisational,
regional, and national cultures to build connections with individuals from diverse cultural
backgrounds.
-Additionally, they should have a clear understanding of their own culture and its biases.
-The ideal candidate should possess the ability to quickly adapt to a different cultural setting,
allowing them to acclimatise with ease.

In addition to what was mentioned earlier, leadership behaviour is consistently recognised as a

significant factor in determining organisational effectiveness. Extensive research has been
conducted over the course of several decades to explore various leadership behaviours. Bass
introduced a contemporary model that includes three distinct types of behavioural models:
laissez-faire, transactional, and transformational global leadership behaviour (Giri & Santra,
2010).

LJMU-7508-BEGP Leadership for Strategic Execution 9|Page

Laissez-faire global leadership behaviour refers to a type of leadership
approach where the leader provides minimal supervision or feedback. This is based on the
assumption that the workers possess a higher level of experience and require little to no
supervision in order to achieve the organisational goals. Under this type of leadership behaviour,
the manager grants employees the autonomy to make their own decisions in any situation, as
managers do not exert any direct control over their employees' actions. Leaders who exhibit this
type of leadership behaviour do not exert a significant amount of control over their employees.
Instead, employees are given the freedom to make their own decisions (Vugt et al., 2004).

Transactional global leadership behaviour involves leaders adopting a reward and punishment
approach to team performance. The leader is given an opportunity to guide the team, and in
return, the team agrees to follow their guidance in order to achieve the organization's objectives,
with the expectation of receiving something in return.
Accordingly, the manager or leader is granted the authority to assess, train, and address
employees when their performance falls short of the desired goals. Conversely, they also have
the power to acknowledge and reward effectiveness when the desired outcome is achieved
(Burns, 1978). The expected performance is determined by a manager's communication of goals,
results, objectives, and rewards to employees who successfully complete their work.

Transformational global leadership behaviour, developed by Bass in 1985, involves leaders

influencing employees by making them feel important and expressing that they can collectively
achieve organisational goals. This leadership behaviour encompasses individual consideration,
idealised influence, inspirational motivation, and intellectual stimulation of employees (Bass &
Avolio, 1994).
Leaders who exhibit this type of behaviour inspire and motivate workers to expand their horizons
and go beyond their current capabilities (Bass & Avolio, 1994).
Furthermore, leaders play a crucial role in motivating workers to actively and efficiently perform
their respective job responsibilities. According to Burns (1978), transformational leaders actively
seek out new ideas that can drive the organisation towards achieving its vision and improving
performance.

LJMU-7508-BEGP Leadership for Strategic Execution 10 | P a g e

References
Barnwell, D., Nedrick, S., Rudolph, E., Sesay, M., & Wellen, W. (2014). Leadership of
international and virtual project teams. International Journal of Global Business, 7(2).
Bass, B.M. & Avolio, B.J. (1994). Improving organizational effectiveness through
transformational leadership. Thousand Oaks, CA: Sage Publications. Journal of Organizational
Change Management, 17:177-193.
Burns, J. M. (1978). Leadership, N.Y, Harper and Row.
Cairns, P., Quinn, B., Alexander, N., & Doherty, A. M. (2010). The role of leadership in
international retail divestment. European Business Review, 22(1), 25-42.
Caligiuri, P., & Tarique, I. (2012). Dynamic cross-cultural competencies and global leadership
effectiveness. Journal of world Business, 47(4), 612-622.
Giri, V. N. & Santra, T. (2010). Effects of job experience, career stage, and hierarchy on
leadership style. Singapore Management Review, vol. 32, no. 1, pp. 85-93.
Hornstein, H. A. (2015). The integration of project management and organizational change
management is now a necessity. International journal of project management, 33(2), 291-298.
Kumar, V. S. (2009) Essential leadership skills for project managers. Paper presented at PMI
Global Congress.
Lencioni, P. (2002) The five dysfunctions of a team—a leadership fable. San Francisco: Jossey-
Bass.
Liefferink, D., & Wurzel, R. K. (2018). Leadership and pioneership. Governing Climate Change,
135.
Mathew, J. A. (2008). Dragon Multinationals: Toward a New Model for Global Growth, Oxford
University Press, New York. (Eds), Casting the Other: The Production and Maintenance of
Inequalities in Work Organizations. London: Routledge
Müller, R., Turner, R. (2010) Leadership Competencies Profiles of Successful Project
Managers, 28(5), pp. 437-448.
Perez, J. R. (2018). An exploration of global leadership: Culture, ethics, and conflict
management. Journal of Leadership, Accountability and Ethics, 15(3), 122-133.

LJMU-7508-BEGP Leadership for Strategic Execution 11 | P a g e

Too, E. G., & Weaver, P. (2014). The management of project
management: A conceptual framework for project governance. International journal of project
management, 32(8), 1382-1394.
Vugt, V. M., Jepson, S. F., Hart, C., & De Cremer, D. (2004). Autocratic leadership in social
dilemmas: A threat to group stability. Journal of Experimental Social Psychology, 40, 1–13

LJMU-7508-BEGP Leadership for Strategic Execution 12 | P a g e